After a decade near the top of the Western Conference standings, the Avalanche were expected to struggle to make the playoffs in 2006–07.[3] The team's expected decline also saw attendance take a hit, as Colorado's NHL record sellout streak of 487 games was ended on October 16 when 17,681 tickets were sold for a game, 326 shy of a sellout.[4]

Entering the final week of the season on April 3, 2007, Colorado was 7 points behind the Calgary Flames for the 8th and final spot in the Western Conference standings. Needing Calgary to lose all four games that week and for them to win all four they fell short by 1 point. Calgary losing to Colorado, San Jose, Edmonton, and again to Colorado did not capture a point that week and Colorado winning three out of four was knocked out of contention when they lost to the Nashville Predators on April 7, 2007. The following night, the Avalanche beat the Flames 6–3 giving them 95 points overall on the season and one short of Calgary who had 96. With the 95 points, the Avalanche became the team with the highest point total in a season to not make the playoffs.

During the season, the Avs announced that they had signed a long term deal to be the NHL affiliate of the new Cleveland expansion team beginning in 2007–08. Coincidentally, the new franchise is a reincarnation of the Utah Grizzlies franchise, which played in Denver as the Denver Grizzlies until 1995, when the Avs came to Denver.[9]